are responsible for. This has led to calls for the review of the operationalisation of certain aspects of decentralisation, as local councils have become heavily dependent on central government grants. This has resulted in the disappearance of their relative administrative, political and financial autonomy. Government has already re-centralised the recruitment and appointment of the Chief Administrative Officers (CAOs), to address inherent weaknesses and contradictions that have emerged in decentralised governance. 3.2.2 Whereas the legal, policy and administrative frameworks for public participation in monitoring and implementation of policies, plans and, programmes has been developed, implementation of programmes within the frameworks for increasing public participation continues to pose challenges especially for local level engagements. 3.2.3 Despite government efforts to mobilise and empower communities to enable their enhanced participation and ownership of development programmes, the extent of ownership for effective economic governance and management at Local Government level is still weak. Government was facing several challenges in garnering ownership of plans and programmes at Local Government levels. 3.2.4 There have been challenges with regard to capacity of both local and central governments to plan and budget for, as well as manage and absorb public finances. 3.2.5 The social, economic, political and other implications to the existing policy and legislative frameworks for deepening fiscal decentralisation is yet to be analysed in the context of the expansion of decentralised administrative structures. While the Country Review Report advised against the creation of more districts in Uganda to forestall growing public administration expenditure, there are new District Council resolutions, requesting Government to create 14 new districts in the next two financial years. The creation of administrative units brings services nearer to the people, increases downward accountability and enhances democratic governance. However, there are also challenges, with the major one being the need to balance the rising cost of Public Administration and effective delivery of services. There is need for Cabinet to carefully analyse the demand for the creation of new districts to assess their viability versus the need to bring services closer to the people.